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July 28, 2025 17 mins
Dean K. Piper, CST and Michael Barbarita of Next Step CFO discuss one of the reasons why people are not making sales is their offers are weak.  We will discuss the 5 components of what makes an offer compelling!

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Episode Transcript

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Speaker 1 (00:04):
Hi, you love done too?

Speaker 2 (00:06):
That's sure? Wow, great you young. This is the pipe
Man here on the Adventures of pipe Man W four
c Y Radio. And it's another positively pipe man. And

(00:29):
again we're gonna have our resident expert on business coming
on the show and talking with us, or is here
with us on the show. And so i'd like to
welcome Michael Barbarita.

Speaker 3 (00:40):
How are you?

Speaker 1 (00:40):
Thank you? Dan hope you will today.

Speaker 3 (00:43):
I'm well.

Speaker 2 (00:43):
And you know what, every time I say your name,
it's everything in my power in my brain not to
say Barbarino.

Speaker 1 (00:50):
I know that shows age.

Speaker 2 (00:54):
I would get that joke, but it is here like
when I was just saying it, like it was about
to come out of my mouth and my mind.

Speaker 3 (01:05):
I had to change it. Uh. I won't be the
last personally. There you go.

Speaker 2 (01:15):
At least you're not worshack. Okay, uh so okay. This
time we're talking about the five components of a compelling offer.
And I love this segment the best because I'm all
about compelling offers when it comes to business sales, and like,

(01:38):
to me, it's all about finding out what see to me,
sales is not people have it the wrong way.

Speaker 3 (01:47):
Sales is not selling something that somebody wouldn't buy. It's
convincing somebody to buy. It's not selling them.

Speaker 2 (01:57):
It's convincing them to buy something they already were going
to buy, but they're buying it from you. And in
order to convince them, there has to be a compelling
offer that's going to make you stand above the competition
or even above any of their objections. So while you
tell us what your strategies and your five components are

(02:18):
for a compelling offer.

Speaker 1 (02:20):
Be happy to do that.

Speaker 4 (02:21):
Dan, thank you, thanks again for having me. So if
you recall from the convergent formula, captivate the problem, fascinate
the solution, educate where we elaborate on why that solution
is far superior to the competition.

Speaker 1 (02:37):
And then finally, the offer.

Speaker 4 (02:39):
And as I said in a previous segment, that the
offer has to be so compelling and so irresistible that
the customer can't say no. They feel foolish if they
were to say no. And so there are five components
of a compelling offer through our research to our studying.
Now maybe there's more, but through our to our research,

(03:01):
we've narrowed it down to five.

Speaker 1 (03:02):
And by the way, you don't have to do just
one at a time.

Speaker 4 (03:06):
I've seen the most effective offers combine at least one,
but one or more of these of these components. So
the first one is urgency and scarcity. So urgency, right,
this offer ends on Friday. Scarcity, there's only three left.
Or if you're in my business, for example, this is

(03:28):
an example. I only have so much bandwidth, I only
have three spots on my calendar. Whatever the scarcity is,
whether it's actual quantity of product or time, whatever, the
scarcity is urgency and scarcity, and I combine those as
one component. So the second one is risk reversal. Now,

(03:49):
if you recall from my story in the ski business,
we had a ski guaranteed skive the ski three times
you don't like it, bring it back for a brand
new pair, and keep bringing it back until we get
it right. And that is a risk reversal. And the
risk reversal is where the seller and the transaction takes
most all the risk and very few times there's a

(04:11):
risk reversal backfire, like almost never. But yet many business
owners are scared to use it.

Speaker 2 (04:18):
They totally are. Yeh, they totally are. And I'm here
to tell you as a motivational speaker. As the number
one thing that's used when selling your program or your
audio program or your video program. It's the thirty day guarantee.
And ninety nine percent of the time, nobody is ever

(04:40):
not satisfied at that thirty day.

Speaker 1 (04:43):
Mark, right, and especially if you believe in your product. Yeah, right, exactly, absolutely.

Speaker 4 (04:50):
Yeah, So that has been That is a great way
to make it off of compelling. So think about it.
If you combine should see in scarcity with a risk reversal,
that doubles up on the power of the offer. The
third one is adding more value to your product or service.
So let me tell you what I did when I
was in the frozen cookie dough business. So the problem

(05:13):
the customer had in the frozen cookie dough business is
they didn't want to waste valuable oven space baking cookies. Okay,
So what we did, and there's a couple of things
dynamics here. Number one, we understood the long term value
of a customer, which is extremely important for every business
owner to know what is the long term value of
a customer. So we understood the long term value of

(05:36):
the customer. Just so you know, it was five thousand dollars.
So when we sold cookie, when we had a customer
in the cookie dough business, we can't expect at least
five thousand dollars of sales over the term three to
five year term, which we considered was the lifetime. It
was longer than that most cases, but we had to
use a criteria. So what we did is and by

(06:01):
the way, the average opening order was fifty dollars. And
what we did is we gave away a free convection
of it, which cost us two hundred dollars m with
the with the with an opening order that average fifty dollars.
So we obviously lost money for a couple of orders,
but we had confidence in our product.

Speaker 1 (06:22):
That's very important.

Speaker 4 (06:23):
We believed in our product and we understood the long
term value of a customer and it worked famously. It
solved their problem and by the way, they got to
bake other stuff in it two okay, but it solved
their problem and we got orders because we added more value.
We weren't just cookie dough, okay. We added more value

(06:44):
to a cookie dough purchase.

Speaker 2 (06:46):
And people like they eat that stuff up. You know that,
even somebody like myself who knows what these marketing things are.
It's still it adds value, so it's not like it's
not like a trick or something. It just it makes
you want to buy the product. And you know, going

(07:08):
back to something you said, it reminds me of this industry.
So before I ever had a network, I used to
pay to have a RAO show on other radio stations.
And one of the things I found with all my
competitors is they all do a thirteen week contract that
they all have a revolving door of business, and they're
always after fresh blood. And you know, because they would

(07:34):
charge as much as they possibly could in the very
beginning to get the most money right up front. And
to me, first thing I think they're alluding to what
you were saying before, is they don't have confidence in
their product or their service or else they wouldn't need
to charge the most amount they ever charge in the beginning.
They would charge the least amount in the beginning and

(07:55):
charge the most later once they gained that client to
be like a forever client. The second thing that I
found is that you know, I'll tend to say to
people and I joke about it. It's like a joke,
but I'll say I'll make you a deal you can't refuse,
and that goes along with what you're saying, even though

(08:16):
I'm joking. Basically, what I'm saying is, Hey, I want
to find out what your needs are, what your problems are,
what the solutions are, and your budget, and I'm going
to try and make you a deal that's so compelling
that you're not going to want to refuse it because
it fits every criteria that you need. And so I'm

(08:39):
living proof that everything you're saying is absolutely one hundred
effective in stick.

Speaker 4 (08:47):
So yeah, you know, and that that fourth component is
what I call packaging and bundling. Now, let me give
you a quick example of that. So when I was
in oh, by the way to the adding more value,
I just want to give one other example. So if
you if you if you sell popcorn and you put

(09:07):
it in a box, and you sell it for two dollars,
and then you instead of putting it in a box,
you put it in a vase. Okay, you can still
sell it for like seven the veins by the cost
extra two dollars, but now you can sell that product
for eight or nine dollars.

Speaker 1 (09:23):
Because they can reuse it.

Speaker 4 (09:25):
So that's adding more value without really adding and and
get and also adding more profit botching.

Speaker 3 (09:31):
Yeah yeah, you know.

Speaker 4 (09:32):
So, So that's just another example. So it's not just
a giveaway thing and understanding the long term valuable customer.
You also can just to add more value by being
creative with how you package.

Speaker 3 (09:42):
Listen, Flores do it all the time, don't they.

Speaker 2 (09:45):
Flores have the package deals where you get the stuffed animal,
the vase and everything, and people spend a lot more
money for that, They make a lot more money and
everybody's happy.

Speaker 1 (09:56):
Terrific example, that's right, yep.

Speaker 4 (09:59):
And so the the component of a compelling offers packaging
and bundling.

Speaker 1 (10:03):
And let me explain.

Speaker 4 (10:04):
When I was in the ski basin, everybody, everybody, I
mean everybody package skis, bindings and polls. Okay, fine, but
what we also did is we took the best, uh
the most, the highest selling ski graphics, so the skis
with the graphics that sold the most, and we went
to the clothing department and put together clothing packages a hat,

(10:28):
a sweater, parker and pan bib.

Speaker 1 (10:32):
For one price and they and they sold famously.

Speaker 4 (10:37):
And so it's that perception of value when you package
and bundle together, and you're also my competition.

Speaker 1 (10:45):
I don't know why they didn't even copy it. They never,
they never.

Speaker 4 (10:48):
It was working great and they never copied it, which
is another interesting thing.

Speaker 1 (10:52):
People.

Speaker 2 (10:54):
I'm a big believer in the packaging by the way
people buy packages. And a perfect example too, it's McDonald's.
Did you ever do the math on a value meal?
You know, if you bought the value meal everything separately,
it would cost you a penny less than buying the

(11:15):
actual value meal.

Speaker 4 (11:17):
Right, it's unbelievable, right, yeah, because it's the perception of
value value meil Well, how.

Speaker 3 (11:25):
Can it not be a value exactly? And nobody calculates it.
They just buy them.

Speaker 2 (11:30):
Like I can't tell you how many people I know
that don't even drink a soda or eat fries and
they'll still get the value meal because they think they're
getting a deal.

Speaker 1 (11:42):
Right. That's an excellent point. Excellent point.

Speaker 4 (11:46):
And then the file component of a compelling offer is
the toughest one. It's in difference to the outcome, not
being connected to the outcome. Many times, many times, too
many times salespeople are connected to the outcome. And what
happens is when they're too connected to the outcome, the

(12:07):
prospect can tell that they're not in it for them
they're in it for themselves.

Speaker 1 (12:11):
And there's ways to do it. You know.

Speaker 4 (12:14):
One of the ways that I do it is that
you know, whether you work with me or someone else,
there are five steps that you must take in order
to properly implement business and financial strategies that your competition
isn't doing. And then I would go through those five steps,
and then I would recap it once again, whether you

(12:34):
work with me or someone else. And so that's just
one part of the difference. There's other parts where some
people would say, you know, I don't want to get
in the way of you succeeding. So if for any
reason there's a lack of trust, or if for whatever
reason you don't want to work with me, I'd be

(12:55):
happy to refer to somebody else. So there's a bunch
of different ways. Because everything is transactional. Dem Yeah, we
have to make it transformational, Okay. So if we're in
different to the outcome and we identify the problem that

(13:16):
the customer has, that's transformational. If we're not indifferent to
the outcome and we don't connect it with a solution,
we're just We're just a transactional sales weasel.

Speaker 3 (13:28):
Yeah, no doubt.

Speaker 2 (13:29):
And that's why you know, and a lot of salespeople
that you're talking about that are doing the transformational and
they do this strategy without even trying to do it.
That's why the takeaway is the best sales tool there is,
because that's it. Yeahs And most salespeople refuse to do
the takeaway because they are afraid they're going.

Speaker 3 (13:50):
To lose the sale.

Speaker 2 (13:52):
And the point is, I've always believed exactly what you're saying. No,
it just shows that, hey, you're providing something value. If
it's not good for them, it's not good for them.
Or if if they don't want to do business, they
don't want to do business, you don't need their business,
they need your business. And that again, that's perception excellent.

Speaker 4 (14:15):
Yeah, I agree, that's a great way to put it.
So just the interview urgency and scarcity, risk reversal, adding
more value to your product of service, packaging and bundling
products and services together, and being indifferent in different to
the outcome and not connected disconnected to the outcome.

Speaker 3 (14:34):
Well, I am connected to you and to what you're
doing for people. So I hope that's allowed, and we
need other people listening and watching to be connected to
you too, But you're indifferent about that. I'm the one
hawking it. Why don't you tell everybody how they reach

(14:57):
out to you, how they connect with you? Also include
you know, you have a book that they can get,
You have a podcast, radio show, you know, give them
all that information.

Speaker 4 (15:09):
Okay, yes, So what we do is we perform book
interviews with people who are interested in learning our strategies.
Why well, we're constantly updating our book because business is
always changing. And the way the book interview works, it's
at sixty minutes on zoom. I present strategies from my
book and then I ask you what the impact that

(15:31):
strategy would have for business owners that would implement it
in your industry, and then I documented for the book.
And the way to get a book interview should go
to www dot NeXTSTEP CFO dot net, forward slash contact
and then fill out the contact form and in the
message section write the words book interview and I'll send

(15:53):
you a calendar link. And I promise you this, You'll
learn business and financial strategies that your competition isn't doing
in that book interview. And then Secondly, you can go
to next Step CFO dot net and download our book.

Speaker 1 (16:06):
It's free.

Speaker 4 (16:08):
And then our podcast resides at Powerful Business Strategies dot
com and our radio show is on Mondays at New
n Easton at W four cy dot com.

Speaker 2 (16:20):
All right, I love it again, such helpful information and
you are definitely a champion for businesses all over the world.
And so once again I want to thank you for
being on this Positively Pipeman segment of the Adventures of Pipeman.

Speaker 1 (16:42):
Thank you for having methane. I really appreciate it.

Speaker 2 (16:44):
Thank you for listening to the Adventures of Pipemin on
w for CUI Radio.
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